HR Strategy Forum

Research ReportTotal Delegate Group: 223

29th & 30th Jan 2019

HR STRATEGY FORUM/TRENDS REPORT 2018

This report is based on survey findings of the delegates for the HR Strategy Forum on the 29th and 30th January 2019, comprising of 223 VPs, Directors and Global Heads of HR within Global 500 companies.To deepen our insights, we interviewed the highest decision makers in face-to-face and telephone interviews to discuss trends and issues being tackled by HR leaders.

27 Global Heads, VPs and C-suite

58 Directors

86 Heads of Department

33 Management

19Talent and Workforce Leads

HR STRATEGY FORUM/TRENDS REPORT 2018

MAIN FINDINGS OF THE REPORT

HR STRATEGY FORUM/TRENDS REPORT 2018

ADAPTING TO A NEW CULTURE

Culture change has been highlighted as the top strategic priority for the group.

ANALYTICS AND TALENT

Analytics of people data in the organisation as well as management of new and existing talent were flagged as the most important technology investments.

EMPLOYEE ENGAGEMENT

Improving engagement with employees stood out as an essential initiative.

EFFICIENCY DRIVERS

Nearly all of those surveyed stressed enhancing cost and process efficiencies as strategic priorities that urgently need to be tackled

HR STRATEGY FORUM/TRENDS REPORT 2018

The key issues being tackled by the Global Head of HR (Customer Development &E-Commerce) one of the world’s top 5 FMCG companies:• Future leadership in

fragmented retail market - do we have future proof leaders, and what does it take?

• Shift of resource to growing channels

• Organisational efficiency and effectiveness through digitisation

The budget plan for the Global VP HR Shared Services at a globally leading confectionary company:• Running shared services for

60,000+ associates in 20 countries around the world

• Automation of operations to drive efficiency and effectiveness (e.g. chatbots, RPA, AI)

• Redesign of portal to improve associate experience

• Potential rollout to remaining 10,000 associates across 60+ countries Explore replacement of core HR system (on premise SAP HR)

ESSENTIALS OF A GLOBAL HR FUNCTION

HR STRATEGY FORUM/TRENDS REPORT 2018

Culture change is a key strategic priority and the researched group are looking at methodologies to define, align and manage this. Key leadership teams are looking at ways of building enthusiasm, driving out fear and supporting the overall strategic direction of the organisation.

To make effective use of people analytics, our client group highlighted the need to ensure staff are trained in utilising the data, goals and expectations are clearly outlined and that the outcomes of analysis are communicated to stakeholders.

A number of best practices for talent management were reported by the group. Among these, it was stressed that talent strategy must be tightly aligned with business strategy and that it must not be forgotten how talent management is all about putting the right people in the right jobs.

HR leaders are taking a data-driven approach in their employee engagement programs to measure performance and make more informed decisions.

The importance of setting and tracking attainable goals was highlighted as the first step in maximising efficiencies across the HR function. Roles and tasks need to be clarified and metrics need to be closely monitored and analysed.

COMBINED SPENDING POWER OF GROUP

£1,890,000,000

HR STRATEGY FORUM/TRENDS REPORT 2018

£100,000 -£250,000

40

30

PER

CEN

TAG

E %

BUDGET RESPONSIBILITY PER PERSON

20

10

0£250,000 -£500,000

£500,000 -£750,000

£750,000 -£1,000,000

£1,000,000 -£5,000,000

£5,000,000 -£10,000,000

£10,000,000 -£25,000,000

£25,000,000 -£50,000,000

£50,000,000 -£100,000,000

£100,000,000+

ORGANISATION’S TOP STRATEGIC PRIORITY

HR STRATEGY FORUM/TRENDS REPORT 2018

Whilst keeping up with technological advancement the group are looking to build a culture that’s conducive to attracting new talent and cost reduction strategies. HR automation technology is seen as a key driver. Solutions around modernising service delivery through technological developments are also seen as a growth area.

Modernisation of Products &

Services

Modernisation of Current Delivery

of Services

Organisational Restructure

Process Automation

Improving Employee

Satisfaction

Culture Change

20

25

30

15

PER

CEN

TAG

E %

10

5

0

HIGH IMPORTANCE TECHNOLOGY INVESTMENTS

HR STRATEGY FORUM/TRENDS REPORT 2018

Having the capability to generate actionable insights through analytics and predict the pathway of people, product and processes across the enterprise is a key area of investment, enabling the organisations to respond to new business opportunities more proactively.

Human Resource Management

People Analytics

Workforce Planning

Payroll Management

Time & Abscence Management

Talent Management

17%

36%

14%

3%

28%

2%

TOP PRIORITY IMPROVEMENT INITIATIVES

HR STRATEGY FORUM/TRENDS REPORT 2018

There are a significant amount of resources our delegate audience need harness to undertake running a HR function in a global 24/7 business environment. Top improvement initiatives are built around engaging the employee and again people analytics seems to play a big part in building this capability.

Improved visibility of financial and HR operational performance

Improved employee engagement

Increased employee productivity

Ability to predict trends through intelligence33.50%

16.26%

34.98%

15.27%

CURRENT OR FUTURE STRATEGIC PRIORITIES

HR STRATEGY FORUM/TRENDS REPORT 2018

At a glance the automation trend is booming. With technologies like robotic process automation (RPA) organisations are set to transform drastically where human and machine work collaboratively. The majority of delegates need to demonstrate in their operating plans initiatives for delivering cost efficiency and lean gains.

Improving business contunuity

Identifying new efficiency savings (outsourcing, lean methodologies etc.

Delivering cost efficiencies

Improving exployee productivity through technology

Improving process efficiency and agility

Current Future

54.55%

68.45%

77.00%

93.58%

89.31% 10.70%

45.45%

31.55%

23.00%

6.42%

ARE YOU AN IT PURCHASING ‘DECISION MAKER’ OR ‘INFLUENCER’?

HR STRATEGY FORUM/TRENDS REPORT 2018

Increase Decrease Stay the same

Increase Decrease Stay the sameInfluencer Decision maker

The IT spend for budget holders is set to stay the same so technology investments must have real intrinsic value in order drive up whole system change. The major influencers of the group who do not hold IT budgets but directly influence solution purchasing decisions understand that their IT spend needs to increase to meet wider departmental initiatives.

69%

27%

48%

34%

66%

43%

3%

9%

AS A DECISION MAKER, ICT SPEND WILL LIKELY

AS AN INFLUENCER, ICT SPEND WILL IDEALLY

CURRENT OR FUTURE STRATEGIC PRIORITIES

HR STRATEGY FORUM/TRENDS REPORT 2018

Companies are moving from bench testing to large scale AI implementation. Automation is already at speed mainly across business and digital disciplines. Rules based automation is generally regarded as ‘old school’ and augmentation is seen as the next big step. Most organisations have considerable challenges migrating from legacy to HR infrastructure but understand this must become a reality in order to underpin future delivery of services and technology.

Increase Decrease Stay the same

Increase Decrease Stay the same

Increase Decrease Stay the same

Increase Decrease Stay the same

Increase Decrease Stay the same

Increase Decrease Stay the same

HR CLOUD SOLUTIONS

INTERNET OF THINGS (IOT)

ROBOTIC PROCESS AUTOMATION (RPA)

GLOBAL MOBILITY SOLUTIONS

ARTIFICIAL INTELLIGENCE

ANALYTICS & BIG DATA SOLUTIONS

58%

39% 32% 78%

63% 68%

39%

60% 61%21%

36% 32%

3%

1%7%

2%

1%1%

All our Strategy Forums combine industry leading searchable analytics through Forum IQ - our delegate discovery platform. Key client investment data is blended with enhanced networking capability via our Forum Link app for everyone to intelligently connect through multi-channel exchanges during our live Strategy Forums.

Deep understanding and clever tech connecting smart people in smooth interactions. Goodbye static conferences, hello evolution.

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